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Amadeus IT Holding, S.A. and Subsidiaries - Investor relations at ...

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AMADEUS <strong>IT</strong> HOLDING, S.A. AND SUBSIDIARIES<br />

DIRECTORS’ REPORT FOR THE YEAR ENDED DECEMBER 31, 2011<br />

<strong>Amadeus</strong> competition entry, which focused on the company’s innov<strong>at</strong>ion in the field of lowcost<br />

carrier distribution, was also selected as one of ten shortlisted companies th<strong>at</strong> will<br />

compete as a finalist.<br />

� Once again <strong>Amadeus</strong>’ commitment to innov<strong>at</strong>ion was confirmed by top sector rankings as<br />

a European leader for R&D. <strong>Amadeus</strong> maintained its previous year’s top sector rankings<br />

in The 2011 EU Industrial R&D Investment Scoreboard, an annual report published by the<br />

European Commission. The report examines the largest 1,000 European companies<br />

investing in R&D during 2010 <strong>and</strong> ranks them according to the total amount invested.<br />

� <strong>Amadeus</strong> Asia-Pacific won the prestigious 2011 Airline <strong>IT</strong> Solutions Provider of the Year<br />

Award from Frost & Sullivan, which recognises innov<strong>at</strong>ive best practices in the aerospace<br />

<strong>and</strong> defence industry.<br />

1.3 Key Ongoing R&D Projects<br />

The main R&D investment in 2011 rel<strong>at</strong>es to:<br />

- Existing contracts:<br />

� Migr<strong>at</strong>ion efforts in rel<strong>at</strong>ion to Altéa: both some large customers migr<strong>at</strong>ing to our<br />

Departure Control System (10 airlines implemented in 2011 <strong>and</strong> over 10 airlines<br />

scheduled in 2012), as well as our pipeline of customers scheduled to migr<strong>at</strong>e to our<br />

Reserv<strong>at</strong>ions <strong>and</strong> Inventory modules in the upcoming years, including the large<br />

migr<strong>at</strong>ions scheduled for 2012 such as airberlin (direct channel passengers), C<strong>at</strong>hay<br />

Pacific, SAS <strong>and</strong> Singapore Airlines.<br />

� <strong>Amadeus</strong> Hotel Pl<strong>at</strong>form for our launch clients, st<strong>and</strong>alone <strong>IT</strong> solutions or e-<br />

Commerce solutions.<br />

- Expansion of the airline <strong>IT</strong> portfolio, including new modules (as we continue to engage<br />

with clients), <strong>and</strong> the evolution of our existing portfolio, including new products, such as<br />

ancillary services, payment services or new e-Commerce solutions, or new or improved<br />

functionalities.such as enhanced shopping solutions.<br />

- Investments in the Distribution business (<strong>IT</strong> applic<strong>at</strong>ions) focused on:<br />

� Travel agencies: e.g. new gener<strong>at</strong>ion front office, search engines, shopping <strong>and</strong><br />

booking solutions or ancillary services, in addition to investment in improved content,<br />

such as the Multisource hotel initi<strong>at</strong>ive, as well as specific tools for Travel<br />

Management companies.<br />

� Airlines: availability, schedules, ancillary services.<br />

� Rail, with the development of the <strong>Amadeus</strong> Total Rail pl<strong>at</strong>form (improved distribution<br />

systems).<br />

� Corpor<strong>at</strong>ions: <strong>Amadeus</strong> e-Travel management, selling interfaces for corpor<strong>at</strong>e<br />

travellers or mobile tools<br />

� Regionalis<strong>at</strong>ion investment, with the aim to better adapt part of our product portfolio<br />

for specific regions.<br />

- Expansion into hotel <strong>IT</strong>, rail <strong>IT</strong> <strong>and</strong> airport <strong>IT</strong> (including the development of a departure<br />

control service for ground h<strong>and</strong>lers), where we continue to work with different industry<br />

partners.<br />

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